HomeMy WebLinkAbout2.B. Jeffrey Feldman, FTTH 4 ROSEN4OUNT EXECUTIVE M
SUM RY
CITY
City Council Work Session: April 11, 2012
AGENDA ITEM: Jeffrey Feldman, FTTH G D SECTION:
Mr, SECTION:
PREPARED BY: Dwight Johnson, City Administrator AGENDA NO. i
ATTACHMENTS: December 2011 staff report APPROVED BY:
AJ
RECOMMENDED 'ACTION: Discussion item.
BACKGROUND
The Council met with Jeffrey Feldman, CEO of FTTH, in December, 2011. Certain franchise standards
appear to be partially unmet af this time, including the timetable for expansion of coverage into additional
areas of the City. At the December meeting, the Council suggested that we should receive quarterly
updates on the plans and progress of FTTH for serving the community. Mr. Feldman's travel schedule
allows him to attend this work session meeting to provide an update.
Information on the F 1`1'H franchise with the City is included in the attached copy of the December staff
report.
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ROSEN4IJU
EXECUTIVE SUMM ARY
CITY COUNCIL
City Council Special Meeting: December 14, 2011
AGENDA ITEM: Jeffrey Feldman, FTTH G NDA ECTION:
PREPARED BY: Dwight Johnson, City Administrator AGENDA NO.
ATTACHMENTS: Letter to Mr. Feldman APPROVED BY:
DA)
RECOMMENDED ACTION: Discuss with 'Mr. Feldman the ''current status -of operations and
franchise requirements and future plans. a
BACKGROUND
At a recent work session, staff informed the Council that FTTH may not achieve full compliance with
franchise requirements by the end of 2011, even though progress has been made on some of them. Staff
proposed that the next step would be a letter to Mr. Feldman of FTTH. The letter is attached and outlines
information from staff about the current status of FTTI,I in meeting franchise requirements.
DISCUSSION
I spoke with Mr. "Feldman over the phone after the last work session discussion. He has reported some
company issues with the FCC that may affect his ability to move ahead system improvements and
expansion although the outcome of this matter is'not known at 'this writing. In addition, the economy is in
a very slow recovery from a deep recession. These matters could be relevant because the franchise
ordinance has language that allows,the City to waive the requirements "upon occurrence of unforeseen
events or acts of God."
At the same time, Mr. Feldman has some interest in moving ahead the best he'can, but is concerned about
proceeding with further investments if the. City is considering "pulling the plug" on his franchise in the
coming months. Therefore, he offered to visit with the City Council about these issues and he is able 'to -
be in town for this workshop meeting.
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4 ROSEMO
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MINNESOTA
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November 23, 2011 v •
Mr. Jeffrey Feldman
One Executive Drive
Fort Lee, NJ 07024
Dear Mr. Feldman:
As I have indicated to you over the phone, I am writing about the status of the franchise obligations of
FTTH in Rosemount. As you know, the City franchise agreement approved in January, 2010 contains
several obligations for FTTH.
One of the provisions required certain public programming channels to be provided over the system
within six months: This included the Rosemount channel (Charter channel 22), the Apple Valley. and
Farmington Channel (Charter channel 16), the PEG access channel (Charter channel 12), and the School
District 196 channel (Charter channel 10). In addition, state law requires that the metro regional channel
be carried also (Charter channel 6). We are happy to note your recent progress in getting the first three
channels working on FTTH (Charter channels 22, 16, and 12). Charter channels 10 and 6 should also be
added to be in full compliance with this part of the franchise ordinance. -
Another franchise provision required that a $10,000 Letter of Credit be delivered to the City. The City
confirms that a $10,000 check has been deposited with the City, thereby meeting this requirement.
Finally, the franchise'ordinance required that an additional 800 dwelling units be passed with energized
trunk cable by December 31, 2011. Although we understand that you have extended service to the
apartments at Waterford Commons in downtown Rosemount and installed conduit in some new'
development areas, it is unclear if fiber is available to these residents. We are not aware of any o ther
significant progress toward this goal at this date.
As you know, you are scheduled to meet "with the Mayor and City Council and their next workshop
meeting on Wednesday, December 14th at 6:30 p.m. at City Hall. We would appreciate hearing your
thoughts and plans for FTTH system including the unmet franchise requirements noted above.
Sincerely,
j/J �Lt7
Dwig t D. Johnson
n
City Administrator
Attachment: amendment to FTTH franchise ordinance dated January 19, 2010
SPIRIT OF PRIDE AND PROGRESS
Rosemount City Hall • 2875 145th Street West • Rosemount, MN 55068 -4997
651- 423 -4411 • TDD /TTY 651 -423 -6219 • Fax 651- 423 -5203 . ,
www.ci.rosemount.mn.us
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PL-Nc6A1A
CITY OF ROSEMOUNT
COUNTY OF DAKOTA
STATE OF MINNESOTA
ORDINANCE NO.
AN ORDINANCE AMENDING THE FTTH CABLE FRANCHISE,
. ORDINANCE NO. X1.31
THE CITY COUNCIL OF THE CITY OF ROSEMOUNT, MINNESOTA, ORDAINS as follows:
Section 1. Rosemount Ordinance No.XI.31, Section 6, paragraph 1 is amended as follows:
Public, Educational and Government Access.
d. Grantee will`cable cast all PEG access programming produced by the City or City's
designee. The Grantee will maintain the Live video feed from City Hall. In
addition, within 6 months of the franchise transfer the Grantee will begin cable
casting ISD 196 Channel 10 and will provide or obtain a live video feed or
connection from Apple Valley City Hall and cable cast PEG access progra+mning
produced by the Apple Valley, Farmington Rosemount Cable Commission
including Rosemount /Dakota County Channel 22, Apple' Valley /Farmington
Channel 16 and the public access channel produced by the Cable Commission.
Grantee shaJ1 present a play and timetable for obtaining and cable casting Regional
Channel 6. -.Grantee shall be responsible for the cost of obtaining the foregoing
program feeds or connections, and 'the cost of any equipment necessary to cable
cast such programming.
Any PEG programm4 originated from FTTH facilities' will be provided to all public
buildings
Section 2. Rosemount Ordinance No.XI.31, Section 8, paragraph 2 is°amended as follows:
Letter of Credit.
s3 a. At the time of acceptance of this Franchise, Grantee shall deliver to the City an
irrevocable and unconditional Letter of Credit, in form and substance acceptable to
the City, from a National or State bank approved by the City, in the amount of Ten
Thousand Dollars ($10,000.00). [Remainder unchanged] '
Section 3. Rosemount Ordinance No. X1.31, Exhibit C is amended as follows:
EXHIBIT C-
Exhibit C is a map showing the location of Grantee's system as - constructed as of January 1,
2010.
K 1
4
A
The City and Grantee acknowledge that the Grantee has 'applied for necessary govermnental
permits, licenses, certificates, and authorizations in order to construct a system serving the City
and that such system construction is underway as of the date of the graining of this franchise.
Grantee shall continue to apply for permits associated with work in specific portions of the
right-of-way as construction proceeds.
Energized trunk cable must be extended substantially throughout the Area depicted on Exhibit
B, and of an ad • o • : .w • tun. mus • e comp by ece
2011. Persons along the route of the energized cable must have individual drops as - desired
during the same period of time. Thereafter, the system' shall be extended throughout the •
remainder of the City consistent with the Franchise and in accordance with Minnesota Statutes,
-Section 238.084. Construction phases must result in a minimum of installations of
• service to at least 500 new dwelling units per year after 2011 and the Rosemount
Business Park.
Upon completion of 'system construction, Grantee will extend ini system and services in ,
accordance with Section 2.7 of the Franchise. The requirements herein may be waived by the
City upon occurrence of unforeseen events or acts of God. The City may only agree to such
Modifications by amendment to this Franchise.
Section 4. Rosemount Ordinance No.Xl.31, Exhibit B and deleted and replaced with the
following:
Insert new current service area map and future service area.
SeCtion 5, This Ordinance shall be in effect following its passage and publication.
•
ADOPTED this - day of , 2010, .4 the City Council of the City of
A k Rosemount
CITY OF ROSEMOUNT
William H. Droste, Mayor
ATTEST:
City Clerk
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